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Question
Can I apply the international travel per diem rates for lodging, food, and transportation toward the cost of a cruise since those are the things the cruise provides? I am a travel photographer and need this trip for my business.
AI accountant’s answer:

Sure, you can deduct travel expenses for your business, but there are some specific rules when it comes to cruises. The IRS allows a limited deduction for business expenses incurred on a cruise ship. You can deduct up to $2,000 per year for expenses from attending conventions, seminars, or similar meetings held on a cruise ship. However, the cruise ship must be a U.S. registered vessel, and all ports of call must be in the U.S or its possessions.

As for the per diem rates, they typically apply to lodging, meals, and incidental expenses when you travel for business. But for cruises, the IRS has a different set of rules. You can't use the per diem rates for a cruise. Instead, you can only deduct actual expenses up to the $2,000 limit, and you must meet certain requirements.

Remember to keep detailed records of your expenses and the business purpose of your trip. And note that the rules for deducting travel expenses can be complex, so it's important to make sure you're following them correctly.

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